David Lloyds Chelsea Case Study

Answer :


In modern business world, it has become vital for every single organisation to have effective employees. Effectiveness and efficiency of employees helps in building brand image and goodwill of any business concern at a faster pace. This could aid firms in gaining ample number of competitive advantages and may help them in giving good competitive rivalry to its competitors. There are various ways through which a company can grab attention of people that are looking for a job and they may also retain staff for a longer period of time.

It is essential to select the right approach so that attention can easily be grabbed of job applicants and retaining of staff could get stronger. For employee retention, it is very essential that a business concern focusses on skills development of its employees and develop a sense of trust and loyalty in them. Also, employees should be a healthy and safe working environment. It is important because high turnover of staff within a business firm may lead to face a number of issues like low profitability, increase in issues and conflicts between people and so on. Present investigation report is going to give appropriate knowledge related to impact of attracting and retaining staff with in a company. Also, this report stresses and emphasizes on ways in which this issue can be tackled or solved by managers.

In this assignment, firm which has been chosen for conducting this investigation i.e. David Lloyd, Chelsea. It is UK based membership club which is having around 100 clubs in all over United Kingdom (UK) and approx 15 across Europe continent. In the total amount of 580,000, this club is having as its staff members that are serving to customers or clients on the basis of their needs and requirements. Each and every employee appointed in this club is especially trained by professional training academies about how to treat members and also training is given to them about gym activities. This training greatly helps them in developing their skills and efficiency.

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On the other hand, David Lloyd is also having around 8,000 health experts who have a specialisation in their particular fields. Around 2000 experts gives training related to enhancing the endurance of an individual and rest of them deals in different sport sectors and gym services. They are also specialised in providing health advice to members. Across all of clubs of David Lloyd, they are having various attractive and eye catching facilities such as around 180 swimming pools and offers outstanding coaching programmes for children (tennis, badminton and many other indoor sports) within the clubs. Free Wi-Fi, crèches, nurseries and specialist sports shops are also some of services that are being offered by them. This club has been ranked among top 5 clubs in UK and is mostly preferred by business class people and younger generation.

1. Project Aims

Main aim of this research : “An investigation into attracting and retaining staff in an organisation. A case study on David Lloyd Chelsea.”

1.1 Project Objectives

  • To analyse the importance of attracting and retaining staff within a business organisation?
  • To identify the ways through which David Lloyd can attract job seekers in today's competitive business environment.
  • To measure the efficiency of services provided by David Lloyd club?
  • To determine the barriers for David Lloyd which led this company to face high employee turnover rate. 

1.2 Project Questions

  • What is the importance of attracting and retaining staff within a business organisation?
  • What are the ways through which David Lloyd can attract job seekers in today's competitive business environment?
  • What is the efficiency of services provided by David Lloyd Club to targeted customers?
  • What are the barriers for David Lloyd which led this company to face high employee turnover rate?

2. Identification Of The Business Issue

David Lloyd is a membership club in UK which offers gymming as well as gaming and sports facilities to its employees and members. While in earlier days, it was very popular among people, it has started loosing its member strength nowadays. It has been analysed that keeping members retained for a longer time is becoming tough for managers of David Lloyd as newer clubs have been opened up with more attractive features at less costs.

Also, employees and members today are greatly influenced by peers' and colleagues . They tend to shift wherever they find better scope and opportunities. Other than this, there are various factors that responsible for employee and member turnover. Some of these factors are lack of compensation packages, hygiene factors,recognition and self development. Equity in compensation packages plays a very important role in retaining employees and members in club.

Compensation packages include salary, insurance , employee leave and so on. Employees working as trainers left David Lloyd as they were not with their compensation packages due to which even their loyal members left. Members visiting the club were all highly cultured and rich industrialists. Many of whom left due to dissatisfaction in quality of services rendered and also basic hygiene like cleanliness of wash rooms, playing areas and so on. All these factors combined together affected employee and members ' turnover at a quite rapid rate. Also, a new club was set up nearby which was providing more facilities at less prices. So both employees who were dissatisfied as well as members switched to new clubs.

When managers of David Lloyd became aware of this issue, they got a proper research conducted by researchers and investigators who found out about this issue and also suggested ways in which this issues can be tackled. For effectively handling this issue , managers will have to focus towards providing equal compensation to all its employees as per their skills and knowledge. Also, they need to maintain proper cleanliness and hygiene in premises. Members should be given extra facilities like annual meets , designing a new kids friendly area and so on. Also, they should be technologically developed so that it becomes time and cost effective for its members.

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3. Literature Review

To analyse the importance of attracting and retaining staff within a business organisation

Business improve their quality to draw in, continue and modify revenue and productivity by using five-steps of PRIDE process-

  • P- Provide Positive Working Environment- Managers are trained properly which is vital as how managers treat and decision made by them impact employees is necessary. Managers of Lloyd have tools, skills and knowledge by which they use those tools which will help to understand retention needs of employee.
  • R- Recognise, Reward and Reinforce Right Behaviour – Employees have personal needs and they wish or work for fulfilment of them. Employees within Lloyd are given rewards when they do their excel in duty performed by them, appreciated when they complete task successfully.
  • I- Involve and Engage – People are involved when they can give their ideas rather then just working to achieve goal given by managers. Lloyd gives their employee chance to present their views which eventually leads to innovation. In this way employees feel they are concerned and valued.
  • D- Develop skills and Potential – To remove impression of dead-end job, Lloyd started a development program for employees with reference to their position within organisation. Training program was started which provided them with opportunities for growth within their own specialisation.
  • E- Evaluate and Measure- Lloyd started evaluation process to know what makes employee satisfied and not satisfied. Surveys and interviews were conducted to know reasons of why employee leave job. Morale, turnover, attitude and involvement of employees at workplace are evaluated.

Ways through which David Lloyd can attract job seekers in today's competitive business environment

Support active lifestyles: David Lloyd can offer their job seekers with an effective working environment in order to encourage wellness perks. These types of perks can become more appealing to job- searching candidates. They can also provide them active break and walk-and -talk meetings. By providing flexible work schedules to their job seekers to achieve their targets can become very beneficial to company. There are different other kinds of benefits like fitness trackers, gym membership discounts through which generating attraction of job seekers can become more efficient. 

Offer financial wellness programs: Most of the job seekers in health and fitness clubs are students and graduating persons. David Lloyd company by providing benefits like, establishing money managements skills, offering online courses and achieving financial health can attract more numbers of job seekers as compared to competitors. Company can also provide them free workshops on health saving programmes and personal finance can attain attraction of job seeking candidates.

Host team outing: This can also be known rewarding employees in best way of their performance. By giving rewards and benefits to their existing employees David Lloyd can create goodwill in external market which can auto attract attention of large amount of fresh job seekers towards them. They can provide benefits like hosting team outings which includes visiting new restaurants, local museum to appreciate their employee work. This will impact largely on job seekers as each and every individual wants to get appreciation of work done by them.

Efficiency of services provided by David Lloyd Club

In today's fast growing and technologically advanced society, it is very important to aware and skilled. Providing customers with omni channel customer service in every business and industry has become almost a compulsion. Managers of David Lloyd also aim towards providing members with cost effective and efficient services as they have already faced retention phase in their clubs. To be more cost effective and efficient in their service providing skills, managers of club have undertaken certain policies and strategies such as offering live chat and video call options to its members.

By doing so, they can instantly connect to experts regarding health advice to its members and suggesting ways of enhancing the endurance of an individual. Also, they should emphasize on maintaining proper cleanliness and hygiene in premises. Members should be given extra facilities like annual meets , designing a new kids friendly area wi-fi facilities, swimming pools and so on. Also, they should be technologically developed so that it becomes time and cost effective for its members.

Each and every employee appointed in this club should be especially trained by professional training academies about how to treat members and also training is given to them about gym activities. This training greatly helps them in developing their skills and efficiency. Above stated ways and methods are of great use for managers to achieve effectiveness and efficiency in their services. This will further help them in sustaining in competitive market for a longer time. Lastly they should provide cost effective services to its members.

Barriers for David Lloyd which led this company to face high employee turnover rate

  • Low Compensation: Depending on work, conditions and job requirement if company is not paying appropriate compensation to their employees then they start leaving jobs. In David Lloyd employers are paying comparatively low to their workers which results in less- sustainable environment in their working culture. They also need to improve their working conditions to generate long-term sustainability in their working culture. By enhancing opportunities company can make finest advantages.
  • Poor work: Lloyd needs more employees as it is fitness industry and each client needs a assistance. When needs of employees are not fulfilled then it can lead to impaired life and this cause employments for burnout. Employees in this organisation work on their own willingness to do extra shift, overtime and off-hours. Employees have to sacrifice their own personal time to meet necessitates of Lloyd.
  • Over scheduling: Overscheduling in business terms refers to a situation when employees face over working problem or are not given sufficient rest, they tend to leave business concerns. Also, many a times their work performance gets hampered and it also takes a toll on their mental and physical health. Due to this, David Lloyd started loosing its employees. 

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From the above mentioned research, it has been concluded that retaining staff is more important for every business organization attain success at market place. The main reason behind this is that, staff members are the backbone for the business as they help them in executing as well as operating entire activities which may help in attaining positive outcomes. In context of this, David Lloyd Chelsea also wants to attract great and talent people to enhance their positive image at market place. For attaining the same, company is responsible for pay fair to their workers as per their performance and ability.

By this, workers felt that they are valuable and important for the company. This is the main reason that employees get motivated and encouraged towards their working activities. Along with this, recognition is also a major part for retaining staff members at workplace. In this company give them opportunities to explore their ideas and views related with the organizational decision. This will contribute in making them more confident and hesitate free at the time sharing their views in front of top level management.

It increase their motivation level at workplace which can be beneficial for the company to make their position more competitive at market place. By providing rewards programs to their workers is also more effective for bring talent workers at workplace. In this context, wages, benefit are also play vital role in attracting and retaining employees which directly contribute in enhancing morale of the workers at workplace.

Along with this, it is also summarized that retention of staff in essential for company to enhance their productivity. This is possible when workers are motivated and able to attain set goals and objectives by putting their positive efforts. For this manager of the company is responsible for motivating and encouraging them so that they can easily perform their task at workplace. With the help of this company can easily make their workforce strong and eligible that positive contribute in overall performance of the company.

Training and development programs is also played vital role in increasing workers skills and knowledge towards the specific task and activities. It help them in making working performance more effective and competitive. It directly contribute in retaining workforce within the David Lloyd Chelsea through which company can easily attain success.

In addition of this, proving clear path is also crucial to increase employee engagement. In this manager of the company provide better directions at the time of performing allotted task. By this workers think that they are valuable for the business organization. It also help in reducing the chances of arising issues at workplace and make business environment more productive. Offering flexibility is also positively impact on the workers performance in which workers are the highly engage with their job responsibilities.

By this, company can easily maintain balance between their work and personal demand as well. All these are help David Lloyd Chelsea to easily attract and retain their staff members by this company may enhance their performance level at wider areas.

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